The plastic packaging company said the decision to terminate takeover discussions with Bain was mutual, leaving Apollo in the lead to buy the firm. Apollo and Bain had until today to make a firm bid for RPC or walk away under takeover rules.

Bain pulled out of the race but talks with Apollo continue after the Panel on Takeovers and Mergers granted RPC’s request to extend the deadline to make an offer until 5 pm on December 21. It marks the third extension of a deadline.

Revenue rose 7% to £1.89bln, reflecting continued organic growth of 3.2%, a contribution from acquisitions and pass-through of higher polymer prices that were partially offset by foreign exchange movement.

Short-seller Fraser Perring reportedly targeting RPC

The weekend before last it emerged that short-seller Fraser Perring was also targeting RPC.

The Sunday Times said Fraser Perring, whose research group uncovered financial irregularities at South African retailer Steinhoff, claims RPC has used a string of acquisitions to mask falling earnings, utilising “aggressive accounting” processes to make its end-of-year figures look artificially healthier.

Peel Hunt maintained a 'buy' rating and target price of 1,230p on RPC saying: "There will be a perception that a potential bid will come at a lower price than previously might have been the case but then again, the mutually agreed termination of discussions with Bain might be based on not being able to agree a higher enough price."

The broker added: "The narrowing of the potential bidder list to just one will heighten nervousness around the stock with 18 days until December 21."

Peel Hunt expects the share price will fall if there is no bid for RPC but then "something of a bounce as investors recognise the inherent value within the stock".

While bears will take the view that any failure to do a deal is due to the accounting debate that has been around the company for the past 18 months, Peel Hunt pointed out that deals are not completed for many reasons and the continued presence of Apollo after this period of time suggests that any possible issue is not with the numbers.

The Sunday Times said Fraser Perring claims RPC has used a string of acquisitions to mask falling earnings, utilising “aggressive accounting” processes to make its end-of-year figures look artificially healthier

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